RETURN EXPECTATIONS

Snowball pursues core-plus and value-add investments with a target IRR of 15%—25% over a 3 to 7 year hold period based on the risk profile of the transaction.

Investment
Criteria

Investment
Criteria

Markets

RETURN EXPECTATIONS

Snowball pursues core-plus
and value-add investments
with a target IRR of 15%—25%
over a 3 to 7 year hold period
based on the risk profile of
the transaction.

Snowball targets submarkets within the Tri-State region that are experiencing population growth due to their proximity and ease of public transportation into Manhattan. In most cases, these markets are still recovering from the de-industrialization trends of the past three decades and the great financial crisis that have created a disjointed urban landscape lacking investment. Urban industrial assets that are experiencing a resurgence due to last-mile logistics are favored as well as flex or manufacturing assets benefitting from the current on-shoring movement are increasingly attractive investment opportunities.

SBDV-regional-map-highlight.jpg

Within NYC, Snowball is interested in waterfront adjacent locations around Lower Manhattan, the Brooklyn, Queens and South Bronx. These areas are where Snowball envisions population growth is set to be more pronounced which in turn will driving demand for newly constructed residential and commercial space. Acquiring properties that have redevelopment potential but carry themselves in the mid-term with traditional financing is a low-risk, high reward strategy that we embrace where possible.

A person walking inside a large sortation center with tall bookshelves filled with books on multiple aisles.
Aerial view of a large sortation center with a newly paved parking lot with marked spaces, surrounded by greenery and additional parking areas.
Aerial view of Amazon and DHL logistics warehouses with trucks parked outside during sunset.
Aerial view of an industrial area with warehouses, a parking lot filled with cars, and a residential neighborhood with houses.
Shallow Bay shopping plaza with parked cars in front, storefronts with signs, and a partly cloudy sky.
Aerial view of a large industrial truck terminal with multiple loading bays, a parking lot with red trucks parked, and surrounding greenery under a clear sky, with city skyline in the distance.

Sectors

Industrial

Industrial assets are Snowball’s preferred investment strategy and the backbone of our growing portfolio. Leveraging our significant experience in this sector and strong market fundamentals, Snowball’s industrial criteria is broader seeking single assets (multi-tenant or single-tenant) requiring capital investment or leasing risk to clustered multi-tenant industrial portfolio opportunities.

✳

The core strategy is to acquire the maximum amount of land with the least amount of building Net Operating Income to minimize our land basis.

deal size

$5M—$75M

Street view with historic stone building and modern skyscrapers near Eaton Center in an urban area of Montreal at dusk, with cars and pedestrians.
Aerial view of a large shopping mall with parking lots, surrounded by residential neighborhoods, near a river and a highway.
Bayonne retail where you can see Chase bank branch on a city street with trees, parked cars, and a traffic light

Commercial

Snowball is attracted to acquiring mixed-use and commercial assets situated in the urbanized greater NYC metro area with the opportunity for repositioning to higher value uses through site intensification strategies. Assets could be either low site coverage urban retail properties or strip centers in proximity to mass transit.

✳

Following on our industrial strategy, we are seeking to acquire assets in tight infill markets with a low land basis.

deal size

$5M—$35M

and open to partnerships
with existing ownership.

Tall Manhattan city building with many windows and a beige facade, surrounded by other skyscrapers and a busy city street below with cars and pedestrians.
Brick building with 'Ubisfot' signage at the top, multiple windows, Saint-Laurent street in Montreal with cars, and pedestrians.
City street scene with tall buildings, neon lights, and moving cars at dusk.

Office

✳

Due to the evolving nature of the office market, Snowball Developments is currently on-pause for all potential office investments until supply-demand fundamentals stabilize.

In the not-so-distant future, our larger capital partners will be ready to play offense and pursue office transactions ranging from loft office or suburban properties to CBD assets. Target assets must be transacting at a substantial discount to replacement cost and generate positive cash flow while supporting traditional bank financing.

deal size

$25M+